Note from the Publisher: As you may know, FintekNews does a daily closing analysis of the new Nasdaq KFTX Index each night (M-F), which we publish in the following weekday’s newsletter. We are passionate advocates for the fintech industry at large, so we wanted to provide you with an analysis that appeared on Zacks, of two new fintech ETFs – Purefund’s FINQ, which launched in late August and has @$2.5M AUM to date, and Global X Fund’s FINX, which launches later in September and has commitments of $1.5M AUM thus far. We will monitor these moving forward so our readers can watch their progression.
“Financial technology or “FinTech” is gaining immense popularity of late, courtesy of increased usage of technology in financial transactions. Initially, FinTech was restricted to certain areas like payment processes. But it has now widened to include several other applications in the financial sector.
Mobile banking, mobile trading on commodities exchanges and digital wallets are examples of technological applications in the financial space, per investopedia. With this, the efficiency of financial services will be enhanced and users will be better served.
Technology is spreading rapidly across every sphere of business today, the financial sector being no exception. Purefunds stated that this emerging FinTech segment expanded about 75% in 2015 and is thus a lucrative investment destination at the moment.